Back in December, Peter Schiff said the Federal Reserve’s was about to do the last rate hike of the cycle. He went further and said the “Powell Pause” wouldn’t be enough and the next step would be rate cuts and another round of quantitative easing. Fast forward to today and nearly everybody expects that the Fed will cut rates at least once this year.
Jim Grant appeared on CNBC Markets Now on June 17 and shocked the panel when he said he thinks the Fed will actually cut rates during this week’s meeting. Most analysts expect the central bank to hold pat during this meeting and then possibly cut in July.
Whether or not he’s right about the timing, Grant offers a good explanation as to why the Fed will cut and the likely results. He says the central bank is pursuing a dual mandate of arsonist and fireman.
As we’ve been reporting, central banks around the world are aggressively adding to their gold reserves. During an interview on RT’s Boom Bust, Peter Schiff talked about this move toward gold and said these central banks are preparing for a dollar crisis. The world is looking for an alternative to the dollar and the best alternative is gold.
In December, Peter Schiff predicted that the Federal Reserve was about to hike rates for the last time and that the next step would be rate cuts. Yesterday, Jerome Powell made comments widely interpreted to signal the rising likelihood of a rate cut. The Fed chair dropped the word “patient” from his vocabulary, saying the central bank would respond as “as appropriate” to the perceived economic impacts of tariffs and other economic data.
Peter appeared on Fox Business Countdown to the Closing Bell with Liz Claman to talk about what’s next up for the Fed and how it will impact the economy.
Peter Schiff nailed it.
Just days before the Federal Reserve met for its December 2018 FOMC meeting, Peter appeared on Fox Business and said we were about to see the last interest rate hike.
When Peter made this prediction, virtually nobody thought the Fed was about to end its tightening policy. In fact, most financial experts were talking about three or four additional rate hikes in 2019.
Well, Peter was right. After that December increase, we got the Powell Pause.
As we’ve been reporting, a number of central banks have been aggressively adding gold to their reserves over the last several years. Globally, central banks accumulated 651.5 tons of gold last year. It was the highest level of annual net central bank gold purchases since the suspension of dollar convertibility into gold in 1971, and the second highest annual total on record. Last week, Serbia and the Philippines joined the race for gold.
A move to minimize dependence on the US dollar, especially by countries like Russia and China, is driving this central bank gold-buying spree. Peter Schiff recently appeared on RT’s News with Rick Sanchez to talk about it.
Billionaire investor Thomas Kaplan said he sees the possibility of $5,000 gold on the horizon during an interview on the David Rubenstein Show.
Kaplan serves as the chairman and chief investment officer of The Electrum Group, New York-based investment, advisory and asset management firm focusing on the natural resources sector. He’s also known for his philanthropic work and as the largest private collector of Rembrandt’s artwork.
During the 2019 Las Vegas MoneyShow, Peter Schiff participated in an investing panel with Alexis Christoforous, Keith Fitz Gerald, Mark Skousen. The four discussed “where to invest.”
When you boil it all down, it was Peter taking on the conventional wisdom.
There were some pretty lively exchanges with Peter driving home the point that the Federal Reserve has hopelessly distorted the economy and the next crash is on the horizon.
Russia once again added to its growing gold reserves in April, buying another 15.55 tons of the yellow metal. According to a press release from the Central Bank of Russia, it now holds 2,183.46 tons of gold.
Russia has expanded its gold holdings by 71.53 tons through the first four months of 2019. Russian gold reserves increased 274.3 tons in 2018, marking the fourth consecutive year of plus-200 ton growth. Meanwhile, the Russians sold off nearly all of its US Treasury holdings. According to Bank of America analysts, the amount of US dollars in Russian reserves fell from 46% to 22% in 2018.
In an appearance on RT, Peter Schiff said he thinks the Russians are preparing for an impending dollar crisis.
Peter Schiff recently appeared on RT to talk about rising oil prices, how they relate to inflation and what it could mean for the US economy.